McDonalds operates restaurants in airports around the world.The agreement between McDonalds and the airports is a(n)
A) global sourcing agreement.
B) strategic alliance.
C) global business.
D) exporting agreement.
E) direct investment.

Question

Quizplus · Accepted Answer

McDonalds' operation of restaurants in airports around the world is a form of strategic alliance, as they are partnering with the airports to gain access to prime locations and increase their global presence. It is not a global sourcing agreement because the focus is on operating restaurants, not sourcing materials. It is not a global business because McDonalds is not running the entire airport, just a small part of it. It is not an exporting agreement because McDonalds is not exporting goods from one country to another, but rather operating within the airport's country. It is not a direct investment because McDonalds is not investing in the airport itself, but rather operating within it.

McDonalds Operates Restaurants in Airports Around the World